Half of Seoul Renters Renew Instead of Moving
1About half of Seoul apartment renters renewed their leases instead of moving.
2High jeonse prices and strict loans made staying put the preferred choice.
3Lacking lump sums, more renters choose monthly rent over jeonse for new leases.
📖 Easy Explanation
🔍 Background
Recently, jeonse (lump-sum deposit) prices for Seoul apartments have surged, and bank loans have become stricter. Furthermore, regulations requiring buyers to live in the properties they purchase have significantly reduced the supply of new rental homes.
📌 Key Points
For these reasons, one in two Seoul apartment renters gave up moving and renewed their current leases this year. In March, renewals exceeded 50%. As raising large lump sums becomes harder, more people are opting for monthly rent over jeonse when signing new contracts.
💡 Why It Matters
Finding a new jeonse home for your children or acquaintances may become tougher than before. Shifting from jeonse to monthly rent increases the monthly housing cost burden, so it's advisable to plan living expenses more carefully.
📚 Glossary
토지거래허가구역 (Toji Georae Heoga Guyeok)Land transaction permit zones where buyers must get local government approval and reside in the purchased property.
계약갱신청구권 (Gyeyak Gaengsin Cheonggugwon)The right of a tenant to demand a two-year extension of their rental contract from the landlord.
보증부 월세 (Bojeungbu Wolse)A rental system where a tenant pays a certain amount of deposit along with additional monthly rent.